Which of the Following Statements Concerning Material Weaknesses and Significant

question 690

Multiple Choice

Which of the following statements concerning material weaknesses and significant deficiencies is correct with respect to an audit of a nonissuer?

• A) An auditor need not identify and communicate material weaknesses separately from significant deficiencies.
• B) All material weaknesses are significant deficiencies.
• C) An auditor should report immediately material weaknesses and significant deficiencies discovered during an audit.
• D) All significant deficiencies are material weaknesses.

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Definitions:

Causes

Factors or conditions that bring about an effect or influence the occurrence of an event, action, or condition.

Wealthy Nations

Countries characterized by a high level of economic development, significant gross domestic product (GDP), and advanced technological infrastructure, leading to a higher standard of living for their populations.

Sources Of Wealth

The origins and means through which individuals or societies acquire economic resources and increase their financial assets, including labor, investment, entrepreneurship, and natural resources.

Colonial Nations

Refers to countries that were established or expanded by conquering and governing foreign territories, often characterized by the exploitation of resources and imposition of the colonizer's culture on the indigenous population.